Negotiation Advocacy

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Negotiation Advocacy: Summary and Cultural Analysis Overview

Kevin Claven

WCM-510-X4436

Dr. Ashley Dellosa

May 29, 2024

Milestone One: Negotiation Advocacy: Summary and Cultural Analysis Overview I. Summary

Netflix’s CHRO Sharon Slade is preparing for a crucial bargaining stage with an employee who is planning to quit Netflix. This negotiation entails an analysis of the Zone of Possible Agreement (ZOPA) and the Best Alternative to a Negotiated Agreement (BATNA) in order to negotiate the best deal for Netflix.

Negotiation Factor Pattern

In this case, Sharon Slade has to prepare for a negotiation in which the employee’s departure will affect the dynamics of the team and the continuity of the project. The employee is a star producer with unique and essential skills that cannot be easily trained or lacked (Dewar, C., et al., 2022). The conversation should be aimed at the employee’s issues and discuss options for his or her retention, including a pay raise, improved benefits, and/or promotion. Slade must learn the reasons behind the employee’s behavior, whether it is the money, work-life balance, a desire for a promotion, or the company’s values.

Types of Power

Sharon Slade holds several types of power in this negotiation: Legitimate Power: As for Slade, being the CHRO, she has legitimate power conferred on her by her position in the organization.

Reward Power: She can use motivators, which include salaries, bonuses, promotions, and better employee benefits.

Coercive Power: As much as this may not be ideal, she can also punish him for leaving by denying him some privileges.

Expert Power: This is true because she has a lot of experience in human resource practices and employee relations.

Referent Power: Some of the ways of influencing the employee include: developing a good relationship with the employee so that she can easily influence her.

These powers are vital in coming up with an argument that convinces the employee to remain with Netflix as well as upholding the company’s values and standards (Rao, M. S. 2020).

Appropriate Alternatives (ZOPA and BATNA)

If an agreement cannot be reached, Sharon Slade should consider the following alternatives:

Internal Replacement: Find a replacement for the exiting employee within the company to take up the same position.

External Recruitment: Conduct an active search for external candidates who would help introduce new ideas to the team.

Redistribution of Workload: In the meantime, assign the employee’s duties to the existing workers and look for a more permanent solution.

Sharon Slade’s BATNA involves preparing for the worst-case scenario: There are several situations that may cause the employee to leave. Some of the preparation measures are as follows: Her ZOPA includes a number of potential negotiation solutions, ranging from keeping the employee on with new conditions to helping the employee depart with grace and allowing for the company's morale and reputation to remain intact (Mamar, R., and Kumari, R. 2023). II. Cultural Analysis Overview

Organizational Culture

One can deduce Netflix’s organizational culture based on how they responded to an employee’s resignation. Netflix is organized under a culture of freedom and responsibility that is based on trust, autonomy, and high performance. When an employee is thinking about quitting, Netflix's response is indeed in accordance with these values. The company may provide a good severance pay, maintain communication, understand the employee’s decision, and appreciate his or her work.

For instance, Netflix has a policy of letting employees express their concerns frequently, and the company’s focus on transparency shows that the company fosters an environment of respect for the workers (Wall, W. P. 2022). This approach minimizes the level of negative perception towards the act of leaving, and the organization is able to sustain good relations with the employees who are leaving.

Cultural Assumptions

Several cultural assumptions drive Netflix’s policy decisions: High Performance: Netflix believes that its employees are intelligent and competent, which is why the company focuses on employee turnover and compensation plans.

Transparency: The company’s culture is also characterized by clear and open communication, as seen in its practice of addressing performance and giving feedback.

Innovation and Flexibility: In this case, Netflix believes that flexibility in working promotes creativity and innovation, which gives rise to Netflix policies on working autonomy and empowered employees.

These are some of the strategic assumptions that Netflix uses in decision-making and its approach to handling employees’ relations and negotiations.

Severance Negotiation

Based on these cultural beliefs, Sharon Slade can effectively participate in a severance negotiation in a manner that is helpful for the company and the employee. She can negotiate terms that would guarantee a smooth transition because, by outlining Netflix’s adherence to the principles of transparency and performance, she can. For example, providing a severance package that covers both the monetary compensation and the assistance in finding a new job is consistent with Netflix’s values and helps the company sustain the image of a supportive employer.

Furthermore, building on Netflix’s culture of experimentation, Slade can offer more fluid work arrangements, like consulting, to maintain the employee’s skills during the transition (Wall, W. P. 2022). This not only reduces the immediate loss-making actions but also strengthens the company’s innovative and adaptable climate.

Conclusion

Therefore, to ensure that she is ready for the negotiation, Sharon Slade has to grasp the pattern of the negotiation, apply the various types of power, and analyze the suitable options. By summarizing the cultural analysis, the nature of Netflix’s organizational culture, focused on performance, openness, and creativity, can be identified. When the negotiation strategy is anchored on these cultural values, then Slade can secure a win-win situation that will uphold Netflix’s reputation and values.

References

Dewar, C., Keller, S., & Malhotra, V. (2022).  CEO excellence: The six mindsets that distinguish the best leaders from the rest. Simon and Schuster.

Rao, M. S. (2020). Reinventing the Organization: How Companies Can Deliver Radically Greater Value in Fast-Changing Markets.  The Journal of Values-Based Leadership13(1), 193-199.

Mamar, R., & Kumari, R. (2023). Hassle in Litigation: Get Satisfied Negotiation through ZOPA and BATNA.  Issue 2 Int'l JL Mgmt. & Human.6, 2463.

Wall, W. P. (2022).  Global competitiveness. Springer Singapore.